When lumber crashes, will stocks follow? ‘Few understand this’ says Michael Gayed

When the lumber to gold ratio spikes, it’s usually a signal that risk on sentiment will remain strong, said Michael Gayed, portfolio manager at Toroso Investments.

Gayed has been tracking the lumber to gold ratio as part of his Lead-Lag report, and his studies have found that peaks and troughs usually lead equity rallies and declines, respectively.

However, given the spike in lumber prices, it’s only a matter of time before prices mean revert downward, meaning a stock market correction could be on the horizon.

0:00 – Lumber/gold ratio and macro
17:29 – Cryptocurrencies
23:34 – Asset allocation

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Investing In Silver – How You Can Make Huge Profits

Have you thought lately about investing in silver? It seems to make more sense these days, due to the falling dollar and financial situation of the United States. Silver has and always will be a safe haven for citizens looking to protect the value of the money they earn. Silver, like gold, is real money. Governments can say their paper money is real, but it really only has value because they say it does. When people lose confidence in paper money, fiat currency automatically loses its value.

Acquiring Gold Coins As An Investment

Looking at buying gold coins and gold bullion as an investment strategy. The value of gold is increasing year after year and with interest paid on savings at an all time low, buying gold can be a sensible alternative to putting your money into a savings account or buying stocks.

Silver Investing – How To Lower Your Risk

On November 10th of this year the margin requirement on silver futures accounts. The subsequent drop in the price of silver was attributed to the fact that many speculators had to liquidate a portion of their holdings to comply with the new margin requirements. Two days later, on November 12th, the central bank of China raised interest rates a half point. The price of silver swooned, justifying the increased margin requirements. The drop in my account value on November 12 caused me to review and alter my silver investing strategy.

Predictions of Gold Price Trend in 2011

There are no sources from which we can predict what the gold price trend 2011 will be. By looking at the historical data an investor can get an idea regarding the price. To know the price estimate of gold in 2011, an investor has to look for the highest gold rate that was recorded in the past.

Silver Prices Rising

It is more likely for the silver prices to become inversely proportional to dollar value in the short term. It is unlikely for the current trends to change course as several countries are investing in government debt. Silver is a scarcely available metal and hence is precious.

The Prices Of Gold Reflect China’s And India’s Demand

Based on their cultures and traditions of thousands of years, both China and India are great consumers of gold in the form of jewelry. Their current economic growth reflected in the increasing incomes is supporting this traditional gold demand and consumption. The gold jewelry demand, for example, reached 407.7 tons worldwide, which means a 43% rise, with 25% of consumption just in India.

The Disadvantages to Owning or Buying Gold or Silver Bullion

What are some disadvantages to owning or buying gold or silver bullion, or are there any? This question needs to be answered before investing so as to make the best choice possible. Though some say there are none, or almost none, there are a few.

5 Reasons to Invest in Gold

Still not believing gold should have a place in your portfolio? Here are 5 powerful reasons why every investor, in my view, should invest in gold. 1) Gold protects you against inflation: The purchasing power of many currencies are continuing to drop because governments around the world are printing too much money.

Is The Price Of Gold Tied To Inflation?

For quite a long time now, gold has been considered one of the best investment opportunities in the world. That is because it has a set of physical qualities that distinguish it from any other metal, as well as a constantly high value on the market.

Is It A Safe Bet To Invest In Gold?

As the price for a gold ounce is getting bigger and bigger, many more people raise the question whether it is really worth investing in the precious metal or not. The following business ideas we are going to introduce to you are some of the reasons why real success investors have adopted this measure of improving their budget.